United Parcel Service, Inc. Revenue in 2024

United Parcel Service, Inc. reported $91.1B in revenue for fiscal year 2024. This represents a growth of 0.2% compared to the 2023 figure of $90.9B.

UPS earned $7 billion in net income on $91.1 billion in fiscal 2024 revenue — a 7.7% net margin that reflects the cost structure of a capital-intensive logistics operation with significant labor costs following the 2023 Teamsters contract. Revenue declined from $100.3 billion in fiscal 2022 to $90.9 billion in fiscal 2023, a $9.4 billion drop that reflected both Amazon's expanding in-house delivery capacity reducing its UPS volume and a broader slowdown in e-commerce growth from pandemic peaks. The 480,000 employees represent the largest single cost line in the business. The 2023 contract with the Teamsters — which covers approximately 340,000 UPS workers — included significant wage increases and new benefits that raised the total compensation cost per driver. Management has been responding by accelerating automation in sorting facilities and deploying routing optimization technology to maintain per-package margin despite higher labor rates. The $105 billion market capitalization on $91.1 billion in revenue prices the business at approximately 1.15 times revenue, consistent with how public markets value logistics companies with high capital intensity. The FCPA violations and customs bribery settlement in 2012 were the most significant regulatory penalty in the company's history but did not alter the fundamental competitive position. The Worldport facility in Louisville, Kentucky — which processes 500,000 packages per hour — represents a capital investment of a scale that no new entrant would replicate. Similarly, the 130,000-vehicle ground fleet and the worldwide airline operations carry replacement values far in excess of the current market capitalization, suggesting the asset base is not fully reflected in the equity price. Free cash flow generation has historically supported the dividend and share repurchase program that institutional investors value in a utility-like transportation business.